Cisco is set to announce more layoffs as it shifts focus to cybersecurity and AI.

From Nasdaq: 2024-08-09 17:59:00

Tech company Cisco (CSCO) is set to announce another round of layoffs, cutting thousands of jobs as it shifts focus to cybersecurity and AI. The layoffs could be larger than the 4,000 jobs cut in February, impacting its stock price which has already dropped 8% this year due to slow demand and supply chain issues.

The trend of tech companies cutting costs and investing in AI continues, with over 126,000 tech workers laid off this year. Intel plans to lay off at least 15,000 employees in August. Cisco’s layoffs align with its upcoming fourth-quarter results and efforts to realign priorities, with approximately 84,900 employees as of July 2023.

Wall Street analysts have a Moderate Buy consensus rating on CSCO stock, with six Buys, 11 Holds, and no Sells in the past three months. The average CSCO price target of $55.07 per share suggests a 21.06% upside potential. Check out more CSCO analyst ratings for further insights.



Read more at Nasdaq: Cisco (NASDAQ:CSCO) Slips after Report Says It Will Announce More Layoffs